IMF raises Kenya’s risk of debt distress to 'high'IMF Managing Director Kristalina Georgieva speaks during a news conference in Washington last year. “The risk of debt distress has moved to 'high' from 'moderate' due to the impact of the global Covid-19 crisis which exacerbated existing vulnerabilities,” the IMF said. And with almost half of Kenya’s public debt owed to external creditors, also affected by the pandemic, borrowing will not be easy. Kenya’s domestic public debt stood at 30.2 per cent of GDP at the end of last year, the Fund said. The Fund, however, said Kenya’s debt “remains sustainable” with debt indicators expected to improve when the global economy rebounds from Covid-19, coupled with fiscal consolidation.

Source: Standard Digital May 12, 2020 22:03 UTC